Performance Appraisal : Performance Evaluation

Performance appraisal is a method which is increasingly used to evaluate employees to determine the degree to which they are performing effectively and encourage them to direct their energies towards organizational performance. Although the appraisal is being practiced, there are criticisms made against the system which generally arise from within the Orthodox and radical management frame work.

Although performance cannot be judge alone with 360-degree assessment, it provides a commentary aspect that will assist an organization in Leadership Development and Succession Planning. Including the 360-degree appraisal in the performance management process will provide a broader perspective about an employee’s performance and detail to annual appraisal. In addition, the technique facilitates greater self-development for an employee. Moreover, it enables an employee to compare his or her self- evaluation about performance with the perceptions of others.

Development of a performance appraisal system that is effective in a human service organization is of benefit for the organization and the employees. For a performance appraisal system to be effective, the system has to be strategic, designed to fit the specific needs of the organization, non-discriminatory, non-bias, with correct implementation and administration. Many different components, must to be incorporated to make this type of system beneficial for all who use it, and all who are evaluated by the system.

A commanding performance evaluation is obtained from several different resources. A proper evaluation is not issued only from management but also with input from peers and subordinates. It is also not uncommon to have customers; both internal and external contribute to the appraisal process. Self-appraisal is also an effective tool for appraisal as it can assist with establishing goals for the future. This type of 360º degree appraisal process can provide a complete assessment of the employee’s strengths and weaknesses. Often times, this type of appraisal process can assist to identify area of concern that traditionally would not have been recorded. All evaluations should be recognized for their source. A self evaluation may be slightly biased and not overly critical where an appraisal from a peer could be affected by the employee’s willingness to properly cooperate with the process. The self evaluation has a tendency not to be objective in relation to the requirements of the position. An affective self evaluation must be based on the requirements of the position and not based on the judgment of the individual performing the activity.

Performance appraisal is an evaluation and grading exercise undertaken in organizations to achieve several objectives such as employee motivation, identification of training needs, rewards and remuneration, employee development through feedback etc. [Fig. 1]. All methods for performance appraisal have several advantages and disadvantages based on location of the firm, socio-economic environment, vision and mission of the firm, organizational structure and other factors. Organizations in different industrial sectors may have different focus areas of work and different values and thus, expectations from employees vary across sectors.

In this paper, I will discuss how to develop and how to recommend and implement an effective performance evaluation process. To begin, I will define what should be evaluated in a performance evaluation. I will than discuss and compare the relative value of common sets of evaluation criteria. Next, I will explain how it can be advantageous to have supervisors, peers and subordinates all participate in the evaluation process. Also, I will explain how it can also be disadvantageous to have supervisors; peers and subordinates to all participate in the evaluation process. Then I will compare and contrast common performance evaluation methods. I will also give examples of errors and biases that commonly

Although performance reviews have been in place for generations, until recently, very little effort was given to understanding whether the process motivated employees or irritated the. One may develop the most technically sophisticated, accurate appraisal system, but if that system is not accepted and supported by employees, its effectiveness ultimately will be limited (Fischer, 2010).A review of the evidence supporting the use of feedback (such as performance appraisal) suggests that providing personnel with feedback is like gambling in the stock exchange: On average, you gain, yet the variance is such that you have a 40% chance of a (performance) loss following feedback (Kluger & DeNisi, 1996 Vol 119(2)).

In conclusion, Bristol Omnifacts feels performance appraisal is very important to its workplace. However, its use for feedback is altered from most workplaces given the nature of its industry. The performance appraisal system seems to be running smoothly enough for the company. However, it appears the company may be in denial of some factors that could be improved. Such as problem solving, past-oriented/future performance appraisal balance and rater 's biases.

360-degree Appraisal: is a review method that uses feedback from an employee 's subordinates, superiors and colleagues to measure his performance at job. Feedback from external part related to the job, like customers can also be used in this performance appraisal method. The advantage of this method is that an employee is evaluated by different people, the negative side of this method is that factors like people experience with the employee and the personal relations have a direct impact on the employee score (Prowse & Prowse, 2009).

“Performance appraisals can enhance employee performance as well as advance the mission and goals of an organization. There are many advantages of performance appraisals if they are applied fairly, consistently and objectively. Performance appraisals not applied fairly can be counterproductive and even destructive to

Performance appraisals are an essential element of the general performance management procedure. A performance management structure involves having an appraisal technique or method, substantiated by job types, colloquial and continuous feedback, leadership training, performance expectations, punitive policies, as well as employee productivity and acknowledgement. In addition, both positive and negative feedback are elements that are instrumental in the arena of performance management. However, the paramount cause of performance appraisal efficiency as well as effectiveness is how well each of these elements correlates with one another.

Performance is evaluated, and information is provided to employees that enables them to reflect on their performance and develop plans. The 360-degree approach allows a wider range of people to evaluate and give feedback on an employee’s performance. A manager might conduct a self-appraisal, as well as receive feedback from peers, subordinates, superiors, and even customers and clients. Some advantages of 360-degree appraisal are that employees can get more than one perspective, and that people who work closely with the employee on a day-to-day basis can give feedback on overall performance, not just once a month or once a year. It is also a useful technique for meeting customer needs. It is sometimes easy for members within an organization to lose sight of the customers' perspectives, and 360-degree appraisal brings the customers' viewpoints into the larger picture. Some disadvantages include the possibility of spiteful evaluations from disgruntled subordinates, especially if evaluations are anonymous, coerced positive evaluations from intimidated employees, or misguided evaluations from employees who are not knowledgeable enough about the job they are evaluating.

Human Resource (or personnel) management, in the sense of getting things done through people, is an essential part of every manager’s responsibility, but many

Performance appraisals are an aid to creating and maintaining a satisfactory level of performance by employees on their jobs. Chatterjee, B (2002: 216) has argued that “the mere knowledge that their performance is being assessed and that such an assessment will have an important bearing on their future within the organisation is a powerful incentive for them to sustain and if possible better their present level of performance”. Therefore performance appraisals help management in motivating and maximising the potential of its employees.

Ultimately, goal of Brett and Simone, when conducting performance appraisals should be to impart a true appraisal of the employee’s performance (including behavior and attitude) from management’s perspective.